(A) An applicant for an original or renewal license shall pay a fee to the department on the issuance of the license or license renewal. License fees are assessed as follows:
(1) in the first year of the biennium:
(a) two thousand dollars for a resident professional employer organization;
(b) four thousand dollars for a resident professional employer organization group;
(c) two thousand dollars for a nonresident professional employer organization. However, if the state of residency of the nonresident professional employer organization imposes a greater fee for licensing nonresident applicants, the greater fee must be assessed. The maximum fee that may be charged is five thousand dollars for a nonresident professional employer organization;
(d) four thousand dollars for each nonresident professional employer organization group. However, if the state of residency of the nonresident professional employer organization group imposes a greater fee for licensing nonresident applicants, the greater fee must be assessed. The maximum fee that may be charged is ten thousand dollars for each nonresident professional employer organization group;
(2) in the second year of the biennium:
(a) one thousand dollars for each resident professional employer organization;
(b) three thousand five hundred dollars for each resident professional employer organization group;
(c) one thousand dollars for a nonresident professional employer organization. However, if the state of residency of the nonresident professional employer organization imposes a greater fee for licensing nonresident applicants, the greater fee must be assessed. The maximum fee that may be charged is two thousand five hundred dollars for a nonresident professional employer organization;
(d) three thousand five hundred dollars for each nonresident professional employer organization group. However, if the state of residency of the nonresident professional employer organization group imposes a greater fee for licensing nonresident applicants, the greater fee must be assessed. The maximum fee that may be charged is five thousand dollars for each nonresident professional employer organization group;
(3) for renewal licenses:
(a) fifteen hundred dollars for a professional employer organization;
(b) three thousand dollars for a professional employer organization group;
(c) fifteen hundred dollars for a nonresident professional employer organization. However, if the state of residency of the nonresident leasing company imposes a greater fee for licensing nonresident applicants, the greater fee must be assessed. The maximum fee that may be charged is three thousand seven hundred fifty dollars for a nonresident professional employer organization;
(d) three thousand dollars for each nonresident professional employer organization group. However, if the state of residency of the nonresident professional employer organization group imposes a greater fee for licensing nonresident applicants, the greater fee must be assessed. The maximum fee that may be charged is seven thousand five hundred dollars for each nonresident professional employer organization group.
(B) In addition to the license fee, the department may levy a biennial assessment for each professional employer organization and each professional employer organization group sufficient to cover all costs for regulation of the profession pursuant to this chapter and other applicable provisions of law. The biennial assessment fee is:
(1) due and payable upon initial licensure and subsequent renewals and one year before the expiration of any licensure period; and
(2) based on the gross South Carolina payroll, excluding tips and gratuities, of a professional employer organization's or professional employer organization group's clients during the period beginning nine quarters before and ending one quarter before each assessment;
(3) calculated in accordance with the following table:
Amount of Gross Assessment Fee South Carolina Payroll Due less than $500,000 $ 500 $500,001-$1,000,000 $ 750 $1,000,001-$2,500,000 $ 1,000 $2,500,001-$5,000,000 $ 1,250 $5,000,001-$10,000,000 $ 1,750 $10,000,001-$15,000,000 $ 2,250 $15,000,001-$25,000,000 $ 3,000 $25,000,001-$50,000,000 $ 3,750 over $50,000,000 $ 4,000
(C) In order to ensure compliance with the requirements of subsection (B), each licensee annually shall submit a statement of total gross South Carolina payroll, excluding tips and gratuities, along with copies of all South Carolina Unemployment Compensation tax returns for the preceding calendar year.
(D) The total licensure fee and biennial assessments during a licensure period must not exceed:
(1) eight thousand seven hundred fifty dollars for a professional employer organization license; or
(2) ten thousand dollars for a professional employer organization group license issued under Section 40-68-90.
(E) The department may change the anniversary date of the first biennium, as established in regulation 28-910(3)(d), so that approximately one-half of the applications for renewal licenses will be due on or before September 30 of the biennium and the other half on or before March 30 of the following year.
HISTORY: 1993 Act No. 169, Section 1; 2005 Act No. 112, Section 1.